TY  - BOOK
AU  - Zeinab Hanafy Abdelmonem Radwan
AU  - Mohamed Hassan Abdelazim , 
AU  - Walid Shehata Mohamed , 
TI  - The impact of other comprehensive income fluctuation on cost of debt, credit risk, and stock price volatility / 
PY  - 2021///
CY  - Cairo : 
PB  - Zeinab Hanafy Abdelmonem Radwan , 
KW  - Corporate Cost of Debt
KW  - Corporate Credit Risk
KW  - Volatility of Other Comprehensive Income
N1  - Thesis (M.Sc.) - Cairo University - Faculty of Commerce - Department of Accounting; Issued also as CD
N2  - The main objective of the current study is to examine the effect of the incremental volatility of other comprehensive income (OCI) on corporate cost of debt, corporate credit risk, and stock price volatility (SPV). Moreover, the mediating role of credit risk on the association between OCI volatility and cost of debt is also examined. The research sample covers a period of 12 quarters from the first quarter of 2017 to the fourth quarter of 2019, and comprises 31 Egyptian firms listed in the Egyptian Stock Exchange. The Prais-Winsten regression, and the structural equation modelling are used to test the validity of the developed research hypotheses. The rolling standard deviation is used to proxy for the incremental volatility of OCI, the interest rate is used to proxy for the corporate cost of debt, the Merton{u2019}s (1974) model is used as a proxy for the corporate credit risk, and the Baskin{u2019}s (1989) model is used as a proxy for the SPV The results show that: First, there is a significant positive impact of OCI volatility on credit risk. Second, there is no direct significant association between OCI volatility and cost of debt. However, when credit risk mediates the association between incremental OCI volatility and cost of debt, the structural equation modelling reveals the existence of a positive impact of OCI volatility on cost of debt through credit risk. Thus, the findings imply that the Egyptian creditors value the OCI volatilities when assessing the creditworthiness of firms, and when pricing debt contracts. Third, there is a significant negative impact of OCI volatility on SPV, implying that Egyptian equity investors prefer not to make trading activities during periods of high volatility. As, high OCI volatility increases uncertainty that is viewed as bad news by investors who decide to postpone their trading activities until the volatility slows down in order to be able to reliably estimate firm{u2019}s economic value
UR  - http://172.23.153.220/th.pdf
ER  -